Adjustments Field

Use this field on the Book Overrides tab to specify how you want the system to adjust incorrect depreciation calculation amounts that result from mixing past calculation amounts (calculated outside of a Sage Fixed Assets application) with current calculations. You need only concern yourself with this field if you added assets to the application for which another system previously calculated depreciation.

When you add previously depreciated assets to the application, you can enter beginning depreciation amounts. These are the amounts previously calculated by another accounting system.

The application then calculates depreciation for the same dates and arrives at its own depreciation amount. The difference between the two amounts, if any, is called the depreciation adjustment amount. The Depreciation Adjustment report lists all depreciation adjustment amounts for all assets in the application.

After you know that you have depreciation adjustment amounts in the system, you might want to reconcile them.

There are two kinds of depreciation adjustment amounts, only one of which you can do anything about (i.e., underdepreciated assets):

• Overdepreciated Assets
• Underdepreciated Assets